European shares were little changed on the final day of trading in a month that has seen their strongest rally in six years.
IAG SA slipped 2.5 percent after its full-year forecast trailed analyst predictions. L’Oreal SA fell 4.6 percent on worse-than-projected sales, dragging a gauge of personal and household goods to the biggest drop among industry groups.
Banco Bilbao Vizcaya Argentaria SA lost 3.5 percent after posting a loss. BNP Paribas SA and Airbus Group SE added at least 1.8 percent after their profits topped estimates.
“We’re part way through earnings season and I think it’s been mixed,” said Ben Kumar who helps oversee about US$14 billion as an investment manager at Seven Investment Management in London.
“It’s not been a particularly fun ride, but if you’re overweight Europe since the start of the year, you’ve had a pretty decent year,” Kumar said.
The STOXX Europe 600 Index dropped less than 0.1 percent at the close of trading. After rising as much as 0.3 percent and falling as much as 0.7 percent, the gauge pared losses in the latter half of the session and almost erased a drop in the final settlement.
Europe’s benchmark measure gained 8 percent last month after European Central Bank President Mario Draghi said the bank would consider additional easing in December.
Its rebound from a quarterly rout has been led by gains in carmakers, miners and energy producers — the groups most battered in the selloff.
The Bank of Japan on Friday refrained from boosting its monetary stimulus, while bank Governor Haruhiko Kuroda said he did not see any limits to further action.
Among other stocks active on corporate news, Royal Bank of Scotland Group PLC slipped 1 percent after reporting profit that missed estimates.
Renault SA rose 5.3 percent after its revenue rose more than projected. Nokian Renkaat Oyj advanced 16 percent after its quarterly income beat estimates.
Euro-region consumer prices stagnated last month after falling 0.1 percent the previous month, a report showed on Friday.
Unemployment decreased in September, a separate release showed.
While eurozone stocks have rallied this month, their performance in the longer run calls into question the Draghi effect.
In the past two years, an index that tracks the eurozone’s equities has risen as much as a European gauge that also includes UK and Swiss shares. US and Japanese equities have advanced more.
Investors are skeptical whether the stimulus is boosting profits, and disappointing results from Deutsche Bank AG and Novartis AG have dragged the STOXX 600 to its first weekly drop in four, down 0.5 percent.
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